The United States Marine Corps awarded Raytheon Company (NYSE: RTN) a contract for the design, development and demonstration of a new production representative 120mm long-range, guided-mortar munition.

Once fielded, the Precision Extended Range Munition (PERM) will be used with the M327 rifled towed mortar, the primary weapon system of the Expeditionary Fire Support System. The system provides all-weather, ground-based close support, and immediately responsive and accurate indirect fires in support of the Marine air-to-ground task force.

"Leveraging our extensive experience with precision munitions, Raytheon will provide the Marine Corps with precision, highly lethal indirect fire support for its combat operations while minimizing collateral damage," said Tom Bussing, vice president of Advanced Missile Systems for Raytheon Missile Systems. "Our PERM solution is also expected to reduce logistical burdens since fewer rounds will be needed to accomplish the mission."

Under the PERM contract, Raytheon will design, develop, test and deliver mature, production-representative mortars for a live-fire demonstration by the Marines in 18 months. The company has partnered with Israeli Military Industries, an experienced provider of weapon systems.

About Raytheon

Raytheon Company, with 2011 sales of $25 billion and 71,000 employees worldwide, is a technology and innovation leader specializing in defense, homeland security and other government markets throughout the world. With a history of innovation spanning 90 years, Raytheon provides state-of-the-art electronics, mission systems integration and other capabilities in the areas of sensing; effects; and command, control, communications and intelligence systems, as well as a broad range of mission support services. Raytheon is headquartered in Waltham, Mass. For more about Raytheon, visit us at www.raytheon.com and follow us on Twitter @raytheon.